Development of Indigenous Defence Technologies

The Ministry of Defence (MoD) is significantly investing in research and development for indigenous defence technologies, with a total allocation of Rs 29,558.66 crore over the past three years. This funding supports various projects, including the development of the Kaveri Derivative Engine for unmanned combat aerial vehicles. Additionally, the MoD is implementing structural reforms to strengthen civil-military partnerships within the defence ecosystem, aiming to enhance collaboration and innovation in defence technology.
Funding Breakdown for Defence Projects
In the last three years, the MoD has sanctioned numerous projects to bolster India’s defence capabilities. For the year 2023, 40 projects were approved with a funding of Rs 3,842.71 crore. The following year, 2024, saw an increase in both the number of projects and funding, with 43 projects receiving Rs 22,175.49 crore. As of 2025, 20 projects have been sanctioned, amounting to Rs 3,540.46 crore. This strategic allocation of funds reflects the government’s commitment to enhancing indigenous defence technologies and ensuring that India remains self-reliant in its defence needs.
Key Projects and Innovations
Among the notable projects is the Kaveri Derivative Engine (KDE), which serves as the power plant for the Indian Unmanned Combat Aerial Vehicle (IUCAV). The MoD has sanctioned two significant projects related to this engine: the Flightworthy Kaveri Dry Engine Development, costing Rs 472.42 crore, and the Technology Demonstration of the Kaveri Derivative ‘Dry’ Engine, with a budget of Rs 251.17 crore. These projects are crucial for advancing India’s capabilities in unmanned aerial technology, showcasing the focus on developing cutting-edge defence systems.
Structural Reforms for Enhanced Collaboration
To improve the defence ecosystem, the MoD is implementing several structural reforms aimed at fostering civil-military partnerships. One of the key initiatives is the identification of Development-cum-Production Partners (DcPP) to expedite prototype development and transition to production. Furthermore, industries are being integrated into the research loop to facilitate faster realization of technologies developed through academic projects. The Centre for Military Airworthiness and Certification (CEMILAC) is also collaborating with civil aviation authorities to streamline certification processes for Unmanned Aerial Vehicles (UAVs), ensuring a unified approach for both military and civilian applications.
Support for Innovation and Research
The MoD is actively promoting innovation through various initiatives. The Defence Research and Development Organisation (DRDO) has established 15 Industry Academia Centres of Excellence (DIA-CoE) across the country, encouraging directed research in defence technologies. Additionally, the DRDO has launched the Technology Development Fund (TDF) to provide financial support for the design and development of innovative defence products. The “Dare to Dream 4.0” contest was also introduced to stimulate innovation among the Indian scientific community, focusing on defence and aerospace advancements. These efforts reflect a comprehensive strategy to enhance India’s defence capabilities through collaboration and innovation.
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